acquisition, page-17

Here are several reasons why I believe it WONT be ARV.

1. ARV currently have 107,000,000 options on issue which lapse in June 2011 with a strike price of 5 cents. It would make no sense to make a take over offer so close to option expiry date because any resonable SP offer will ensure all options are exercised and ultimately cost NST a minimum of 107,000,000 x 5cents extra to purchase the entirety of the ARV stock on issue.

By waiting a mere 3 1/2 months longer to make an offer NST would only have to purchase 323,000,000 shares on offer rather than possible 430,000,000 at full dilution.

2. With the potential mine resource upgrade at Paulsens so near, the need for the additional ARV resource is greatly reduced. With current drilling results its looking highly likely that NST are certainly going to have a mine life extension of anywhere between 2 - 5 years imo, which will put them in a very strong cash position in the coming years.

With strong cash flow and extended mine life NST basically has little need for ARV at present. For ARV to use the NST processing facilities once they have a defined resource its highly likely NST will wont a bigger slice of the pie (approx 50/50) for them to allow ARV access to the processing facility.

If ARV aren't willing to do a deal which grealty favours NST basically they are left with nothing more than dirt in the ground. With no other processing facility in proximity ARV need NST far more than the reverse.

NST basically has ARV over a barrel! ARV will desperatly want to become a producer and I beleive its going to cost them considerably more than 20% to do so.

The above points are my opinion only and for NST holders who cuurently own ARV shares I genuinely hope Im wrong. I also once held ARVOB with the idea that they would eventially become a takeover target for NST. I closed my position late last year when it became evident to me that NST would wait until after the option strike date had passed to make an offer in order to preserve cash.

Good luck to all!!